• Ellen Pace

Telco Service Evolution: How It Was, How It Is, How It Will Be

1849. This is the year when Antonio Meucci invented the first basic phone. Give this device & communication method 170+ years of constant development, and you will see how it would change the world.

The first link was the phone. The next ones were the first computer and the Internet network. Then - cellular phones and smartphones. And the list will never end. Each implemented innovation in the communication field required flexibility and new commercial offering from communication service providers (CSPs). In turn, they used the opportunity and managed to build a wireless empire across the globe and even the Universe to drive it.

The fuel of this process is a wide range of services CSPs create, tailoring to market conditions step-by-step. Here you will discover how they could turn into the main link of processes starting with daily communication and ending with public & private entities' operations.

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The Telecom Industry in The Past

Manual. Here's the word describing the telecom operations dozens of years ago. The limited capabilities of ordinary operators made it possible to cover basic consumer needs such as phone connection. Devices were connected manually. Do you remember old-school films where a person talks with an operator asking for a connection with a specific city? Then, the operator works magic helping two people keep in touch.

Businesses noticed that the lack of optimization slowed down industry development. They looked for a solution and found it in automatization and modernization. CSPs bet on machines trying to simplify processes and eliminate routine. At that time, the world close to globalization needed a high speed. People created new technologies and ways of communication, so telecom operators had to adapt.

The number of companies in the telco industry grew. The scope of services remained limited because nobody knew what else to offer except basic connectivity. Such a collapse helped businesses move to innovations and fresh approaches to service provision. CSPs focused on additional services, helping them save a competitive advantage. A bright example could be the era of ringtones when each cellular phone user could replace traditional beeps with popular songs or melodies.

Telecom was one among the first areas discovered that the secret of commercial success is in the value provided to customers. The wider it is, the higher income it brings. The world moved to the tech revolution, so the blue ocean of commercial opportunities was synonymous with "information technology" for telco companies. They started to perform a digital transformation to go beyond the competition since this way, CSPs could help all other businesses to do the same - turn them into tech-based.

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Telecom as Is: What We Are Used To

Tech-oriented. We know the industry as super-flexible regarding innovations. Now, telecom companies create a central link of the entire communication worldwide. They provide robust coverage and connection using millions of devices, including satellites.

We noticed their importance during the pandemic when the entire world was shocked and isolated. The only segment working as a Swish clock was telecom. Exactly CSPs helped companies to set up remote communication that would be impossible without proper coverage. They allowed enterprises to manage operational processes over the air, preventing their downtime. Retail, healthcare, manufacturing, and other crucial industries withstood owing to telecom companies that worked hard to create a new reality.

Now, telecom companies are IT companies because of significant technological investment. This shift applies to all businesses worldwide, but the telco has a benefit: other companies can't operate without smooth communication. So, the tech approach and relevant offerings are crucial for almost everyone. It is a win-win for telecom business players.

Telco enterprises are equally focused on the B2B and B2C segments. They expand product catalogs with dozens of new subscription plans, tools, and options. CSPs actively participate in all tech-oriented initiatives such as smart factory & city creation, supply chain optimization, etc.

The biggest power of telecom companies today is the access to the 5G technology providing the fastest way of data exchange. This innovation is a basis for implementing other crucial technologies such as IoT, AR/VR, digital twins, etc. CSPs commercial offering now is moving across data movement, its collection, and processing. It helps the segment to save a leading position and be the first among equals in the business world.

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What Stakeholders Should Expect from Communication Service Providers

Techco. This is the next stage of telecom development. They say the industry is transforming with lightning speed, especially after the pandemic and during the russian-Ukrainian war. Telecom will be the first domain trying new tech approaches to provide other businesses with access to them. Even now, CSPs are not only about phone or Internet connection. They are engines of the tech revolution. The techco companies will transform their services to ensure:

  • excellent customer experience via multiple communication channels

  • new tools allow to speed up Time-to-Market and increase ROI

  • high data availability and security

  • business maturity that is needed to perform a fruitful digital transformation

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Wrap Up

Telecom services are an extraordinary phenomenon since it requires a smart approach to turn limited offerings into vast opportunities for people, businesses, and public authorities. Meanwhile, CSPs managed to do it, using innovation as a base. The fierce competition and dynamic IT market help enterprises in this field to keep fit and transform their business models to save a competitive edge. Most likely, soon, we will use many more options provided by telco (or techco) companies. And it's highly-motivating news considering that the first step towards total business leadership was made in 1849 when Antonio Meucci invented the first basic phone.

If you're looking for a way to make your business mature and flexible - let us know. Our experts will advise you on where to start your digital transformation journey.

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